Northam Platinum Approves Kukama Project at Eland Mine
Brits – Northam Platinum is pleased to advise that mining operations at the Kukama shaft situated at its Eland mine complex near Brits will recommence in the new financial year (F2020).
This significant development comes after the successful conclusion of a feasibility study for Kukama shaft.
Northam purchased a 100% interest in the Eland mine from Glencore Operations South Africa Proprietary Limited in February 2017 for a cash consideration of R175 million. Eland mine was placed on care and maintenance in 2015 and Northam continued to manage it as such whilst undertaking the feasibility study for the Kukama shaft.
Northam Platinum chief executive Paul Dunne points to the positive investment return demonstrated by the Kukama project, which comfortably exceeds the company’s weighted average cost of capital.
“In addition,” says Dunne, “the project further diversifies the group’s operations and production capacity and does so efficiently by utilising an extensive existing capital footprint. Kukama is a project that lends itself to scaling up or down and will form the production base for the broader Eland complex.
The mining method to be implemented at Kukama is well-known and well proven. Our focus will be on safe, quality, long-life production, whilst creating sustainable long-term employment in the platinum industry.”
Northam Platinum press release extracts, 26 June 2019